Hong Kong Private Wealth Management Scale Exceeds HKD 10 Trillion, Client Confidence Rises to Three-Year High
The assets under management (AUM) of Hong Kong’s private wealth management industry increased by 15% year-on-year to HKD 10.404 trillion, while net fund inflows rose by 13% during the year.
In recent years, Hong Kong’s financial market has continued to develop positively, with industry confidence significantly improving. The report highlights that 100% of surveyed member companies (including leading global private banks such as HSBC, UBS, J.P. Morgan, and Citigroup) are optimistic about the development prospects of Hong Kong’s wealth management market over the next five years, a substantial increase from 76% in 2024.
Hong Kong‘s Role as “Super Connector” linking Mainland China and Overseas Markets
As a “Super Connector” linking mainland China and overseas markets, Hong Kong, with its improving financial infrastructure, is expected to facilitate greater inflows of international capital into Asian markets and support mainland enterprises in expanding overseas. This year, 59% of member companies reported an increase in client demand for opening new accounts and allocating assets in Hong Kong, up from 34% last year.
Alternative and Digital Assets Gain Traction as Client Base Expands
In terms of asset allocation, alternative investments are expected to become a key growth area over the next three to five years. Currently, 44% of clients allocate less than 5% of their portfolios to alternative assets. However, one-third of institutions anticipate this proportion will rise to 11%–15% by 2030, reflecting a trend toward more diversified investment strategies. Simultaneously, the digital asset sector is experiencing rapid development, with over half of the companies already engaging in or planning to invest in virtual asset trading platforms, custody, and related services within the next two to three years—doubling from last year. The wealth management industry is actively responding to technological innovation and evolving client demands.
From the perspective of funding sources, mainland China remains the largest contributor to Hong Kong’s AUM, accounting for 57%, a figure expected to further increase to 63% over the next five years. Additionally, the rise of the next-generation client segment and the mid-market client base has opened new growth opportunities for the industry, prompting wealth management firms to enhance personalized services and digital innovation to meet the expectations of clients across different tiers.
Overall, Hong Kong’s private wealth management industry demonstrates positive developments in client confidence, asset allocation diversity, technological application, and cross-border capital flows. This not only reinforces its competitiveness as a premier global wealth management hub but also lays a solid foundation for sustained growth in the future.
